The Monegasque Institute of Statistics and Economic Studies (IMSEE) has just published the Principality's 2010 GDP.
Monaco's 2010 GDP is 4.13 bn euros compared to 4 bn in 2009, a growth rate of 2.47% adjusted for inflation, compared to a 11.45% decline in 2009. Although the performance is positive, economists are cautious due to low or negative growth forecasts for 2012. Nominal GDP remains lower than levels achieved before the global financial crisis; 4.36 bn in 2007 and 4.49 bn in 2008.
Two main factors are affecting growth in Monaco. First, the trend of the European and international economies. Second, the nature of the territory and the economic performance of large, local companies that have a direct impact on national economic performance, making Monaco's GDP more volatile than other countries. This can be seen in poorly performing sectors such as the hotel, real estate and telecoms industry, which have traditionally been wealth creators. In addition, the decline in the hotel sector has been amplified by the negative impact of reduced VAT.